Note$-$ Kindly note that the currency quotation USD$/$EUR $0\mathrm{.}96$ represents that $0\mathrm{.}96$ units of euros can be exchanged for one US Dollar. Please use the same convention throughout the same question paper.

Mini Case$-$

Currency Hedging at ABC Industries

Richard Rothschild the chief financial officer of ABC Industries returned to his office after his meeting with two officers

of southeastern National Bank. He had requested